Actual stories of lawsuits for doing tractor work for hire.

   / Actual stories of lawsuits for doing tractor work for hire. #81  
One more:
http://www.spkpowerlaw.com/sites/de...les/articles/lawsuitpendingingasexplosion.pdf

You've got one person dead, one injured, two houses destroyed and another damaged. The homeowner suing the utility company, the county, two contractors -- and them all suing each other. All of this over some work that was done five years earlier, where the excavator may or may not have nicked a pipe. I love the final quote: "There is enough liability to go around."

(edited for length)
Lawsuit pending a year after natural gas explosion in Plum
Thursday, March 05, 2009
By Torsten Ove, Pittsburgh Post-Gazette

The explosion at 171 Mardi Gras Drive occurred a year ago today. Richard J. Leith, 64, was killed, his granddaughter injured and the home leveled.

Life has long since returned to normal in the quiet Holiday Park neighborhood, but the legal fight over who's to blame is just beginning. The National Transportation Safety Board, which investigates accidents involving interstate pipelines, said in a report that the excavator, Winfield Scott Lea, probably bumped the gas line with his backhoe and damaged it while excavating on the property in 2003.

The impact on the 2-inch line "stripped the pipe's protective coating and made the pipe susceptible to corrosion and failure." It took five years for the pipe to fail, but it finally did on March 5, 2008. On that afternoon, the NTSB said, gas suddenly began leaking out, traveling through the ground and into the basement, where it quickly accumulated. Something then ignited it. The blast destroyed the house, owned by Antonio and Tina Pettinato. Her father, Mr. Leith, 64, was baby sitting her daughter, Gianna. The explosion killed him and hurled the little girl more than 50 feet, breaking a leg. Homes on either side of the Pettinato house were also damaged; the one at 167 Mardi Gras, owned by Don Widlocher and Patricia Doyle, later had to be torn down. After the blast, many residents had to be evacuated because no one was sure whether their homes were safe.

But for the Leith family, the ordeal will continue in court, where their suit against the borough, gas company, plumbing contractor and Mr. Lea is pending. The suit is proceeding slowly through Allegheny County Common Pleas Court, where it has been complicated by various cross-claims. In addition to Plum Borough, the defendants are Dominion Peoples Gas Co. and two Apollo contractors, Higgins Plumbing and W.S. Lea General Contracting, Mr. Lea's company. The case hinges on the events of Oct. 15, 2003, after the homeowners at the time had hired Kevin Higgins, the plumbing contractor, to replace the sewer line so the house would comply with county code. He, in turn, hired Mr. Lea to uncover the sewer pipe after Dominion and the borough located and marked the gas and sewer lines.

Mr. Lea told the NTSB that he used a backhoe to uncover the sewer line and replaced the original terra cotta line with a plastic one, then backfilled the site with porous sandstone. But he said he never used the backhoe near the gas line. Mr. Higgins, of Higgins Plumbing, told the board that he dug near the pipeline by hand. Both said they didn't damage the gas line.

The NTSB concluded otherwise, however, after examining the section of pipe at its laboratory in Washington, D.C. "The dents and the deformation in the pipeline indicate that it had been struck from below by something more powerful than a hand shovel," the board wrote, and said "it is likely that the excavator struck the pipeline with the backhoe."

It's not clear how this case will play out, but Mr. Perer said he'll find his own experts. "It is our position," he said, "that there is enough liability to go around."
 
   / Actual stories of lawsuits for doing tractor work for hire. #83  
I reversed into a Mercedes Benz with my loader once :eek: Worse still ... it's mine :mad:

Wife came flying up the drive one day with the 'cruise control' on (hydro tractor), and ran the forks into the back of our car. I was gonna sue her, but she made me a strawberry pie and we called it good. :D
 
   / Actual stories of lawsuits for doing tractor work for hire. #84  
I do not recommend an LLC unless you are the type person who will hold board meetings with yourself, keep up to date the required records, are willing to file another tax return every year... even if you have zero business activity.

Single member LLC is a pass through entity and their "return" is a schedule C on your personal return. They do not even need a separate EIN.
 
   / Actual stories of lawsuits for doing tractor work for hire. #85  
So is a LLC a good idea or what? You guys are confusing me!
 
   / Actual stories of lawsuits for doing tractor work for hire. #86  
An LLC will not protect you from torts that you, yourself, commit; it only protects you from the actions of the corporation (which, effectively, means your employees...which most of us don't have, at least not on those odd jobs).

I wouldn't bother, at least not until you're big enough to be taking people with you on those jobs.
 
   / Actual stories of lawsuits for doing tractor work for hire. #87  
Single member LLC is a pass through entity and their "return" is a schedule C on your personal return. They do not even need a separate EIN.

As a matter of taxation, you're right; however, you still have to maintain the corporate form (annual meeting, no commingling of finances, etc.) or you lose the protection of the form.
 
   / Actual stories of lawsuits for doing tractor work for hire. #88  
An LLC may be a good idea but keep in mind that, if you are not also protected by insurance, you may have to close the business and lose all the assets. If you are using an LLC, the equipment should be owned by the LLC in order to be depreciated. Otherwise, you're overpaying taxes. However, you would lose it in a lawsuit if you don't have insurance.
 
   / Actual stories of lawsuits for doing tractor work for hire. #90  
So is a LLC a good idea or what? You guys are confusing me!

From Limited Liability Protection and LLCs: A 5-State Guide | Nolo.com

If you form an LLC, you will remain personally liable for any wrongdoing you commit during the course of your LLC business. For example, LLC owners can be held personally liable if they:

-personally and directly injure someone during the course of business due to their negligence
-fail to deposit taxes withheld from employees' wages
-intentionally do something fraudulent, illegal, or reckless during the course of business that causes harm to the company or to someone else, or
-treat the LLC as an extension of their personal affairs, rather than as a separate legal entity.
 

Tractor & Equipment Auctions

John Deere 1025R Tractor (A50514)
John Deere 1025R...
2020 EZGO GOLF CART (A50324)
2020 EZGO GOLF...
J & M 30' Head Cart (A50514)
J & M 30' Head...
2014 VOLVO VNM DAY CAB (A51222)
2014 VOLVO VNM DAY...
2019 Ford Explorer AWD SUV (A50324)
2019 Ford Explorer...
2017 Bomag BW90 AD-5 Vibratory Articulating Tandem Smooth Drum Roller (A50322)
2017 Bomag BW90...
 
Top